MIRA INFORM REPORT
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Report
Date : |
20thJanuary, 2007 |
IDENTIFICATION DETAILS
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Name : |
SHIJIAZHUANG PHARM GROUP HEBEI
ZHONGRUN CHEMICAL CO., LTD. |
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Registered
Office : |
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Country: |
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Financials
(as on): |
31.12.2005 |
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Date
of Incorporation : |
23.06.2004 |
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Com.
Reg. No.: |
130100100532 |
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Legal
Form : |
Wholly Foreign Owned |
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Line
of Business : |
Engaged in manufacturing and selling medicine intermediate |
RATING &
COMMENTS
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MIRA’s
Rating : |
Aa |
RATING
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STATUS |
PROPOSED CREDIT LINE |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for
credit transaction. It has above average (strong) capability for payment of
interest and principal sums |
Large |
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Maximum
Credit Limit: |
USD
1,000,000 |
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Status
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Good |
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Payment
Behaviour : |
Regular |
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Litigation
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Clear |
NAME &
ADDRESS
SHIJIAZHUANG PHARM GROUP HEBEI ZHONGRUN CHEMICAL CO., LTD.
NO.
TEL: 86 (0) 311-8622602
FAX: 86 (0) 311-88622748
EXECUTIVE SUMMARY
INCORPORATION
DATE : JUN. 23, 2004
REGISTRATION
NO. : 130100100532
REGISTERED
LEGAL FORM : WHOLLY FOREIGN
OWNED
CHIEF
EXECUTIVE : MR. CAI DONGCHEN (CHAIRMAN)
STAFF
STRENGTH :
170
REGISTERED
CAPITAL : RMB 50,000,000
BUSINESS
LINE :
MANUFACTURING
TURNOVER : RMB
514,450,000 (AS OF DEC. 31, 2005)
EQUITIES :
RMB 160,710,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY GOOD
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION :
FAIRLY GOOD
EXCHANGE
RATE :
RMB8.02=US1$ AS OF 2006-5-12
SC was
registered as a wholly foreign owned
enterprise at local Administration for Industry & Commerce (The
official body of issuing and renewing business license) on Jun. 23, 2004.
Company
Status: Wholly foreign-owned enterprise This form of business in PR China is defined
as a legal person. It is a limited co. established within the territories
of PR China with capital provided totally by the foreign investors. More
than one foreign investors may jointly invest in a wholly foreign-owned
enterprise. The investing party/parties solely exercise management, reap
profit and bear risks and liabilities by themselves. This form of companies
usually have a limited duration is extendible upon approval of Examination
and Approval Authorities.
SC’s registered business scope includes
manufacturing medicine intermediate 7-ACA, selling its products.)
SC is
mainly engaged in manufacturing and selling medicine intermediate.
Mr. Cai
Dognchen has been chairman of SC since 2004.
SC owns
about 170 staff.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Shijiazhuang. Our checks
reveal that SC owns the total premise about 24,000 square meters.
SC is not
known to host website of its own at present.
No
significant events or changes were found during our checks with the local
Administration for Industry & Commerce.
MAIN SHAREHOLDERS:
Name % of shareholdings
Hong Kong
China Pharm. Enterprise Investment Co., Ltd. 100
Chairman:
Mr. Cai
Dong Chen, in his 50’s with university education. He is currently responsible
for the overall management of SC.
Working
Experience(s):
From 2004
to present Working in SC
as chairman.
General
Manager:
Mr. Lu
Jianmin, in his 50’s with university education. He is currently responsible for
the daily management of SC.
Working
Experience(s):
From 2004
to present Working in SC
as general manager.
SC is
mainly engaged in manufacturing and selling medicine intermediate.
SC’s
products mainly include: medicine intermediate 7-ACA.
SC sources
its materials 100% from domestic markets. SC sells 70% of its products in
domestic markets and 30% to
The buying
terms of SC include Check, T/T and Credit of 30-60 days. The payment terms of
SC include T/T, L/C and Credit of 30-60 days.
*Major
Customers:
==============
Shijiazhuang
Pharm Group Zhongrun Pharm Co., Ltd.
SC is not
known to have any subsidiary at present.
Overall payment appraisal :
( ) Excellent
( ) Good (X) Average ( )
Fair (
) Poor ( ) Not yet determined
The
appraisal serves as a reference to reveal SC's payments habits and ability to
pay. It is based on the 3 weighed
factors: Trade payment experience
(through current enquiry with SC's suppliers), our delinquent payment and our
debt collection record concerning SC.
Trade payment experience: SC did not provide any name of trade/service suppliers and we have no
other sources to conduct the enquiry at present.
Delinquent payment record: None in our
database.
Debt collection record: No overdue amount owed by SC was placed to us for collection within the
last 6 years.
Mechanical
Bank of
AC#：080080018001463330
Relationship:
Balance Sheet
Unit:
RMB’000
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As of Dec. 31, 2005 |
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Cash
& bank |
29,300 |
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Accounts
payable advance |
34,700 |
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Accounts
receivable |
132,990 |
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Inventory |
80,700 |
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Other
accounts receivable |
0 |
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Expenses
to be apportioned |
0 |
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Other
current assets |
17,140 |
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Current
assets |
294,830 |
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Fixed
assets |
74,410 |
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Projects
under construction |
5,410 |
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Other
assets |
2,960 |
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Total
assets |
377,610 |
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============= |
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Short
loans |
30,000 |
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Accounts
payable |
193,840 |
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Salary
payable |
1,000 |
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Tax
payable |
-9,370 |
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Account
receivable advance |
1,200 |
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Estimated
liabilities |
0 |
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Long-term
investment with in one year |
0 |
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Other
accounts payable |
-19,780 |
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Drawing-expense
in advance |
0 |
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Other
current liabilities |
20,010 |
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Current
liabilities |
216,900 |
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Long term
liabilities |
0 |
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Other
liabilities |
0 |
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Total
liabilities |
216,900 |
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Equities |
160,710 |
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Total
liabilities & equities |
377,610 |
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Income
Statement
Unit:
RMB’000
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As of Dec. 31, 2005 |
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Turnover |
514,450 |
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Cost of
goods sold |
392,180 |
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Sales expense |
6,300 |
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Management expense |
3,790 |
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Finance expense |
1,120 |
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Profit
before tax |
111,030 |
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Less:
profit tax |
0 |
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Profits |
111,030 |
Important
Ratios
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As of Dec. 31, 2005 |
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*Current
ratio |
1.36 |
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*Quick
ratio |
0.99 |
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*Liabilities
to assets |
0.57 |
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*Net
profit margin (%) |
21.58 |
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*Return
on total assets (%) |
29.40 |
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*Fixed
assets/Total assets |
0.20 |
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*Inventory
/Turnover ×365 |
57 |
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*Accounts
receivable/Turnover ×365 |
94 |
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*Turnover/Total
assets |
1.36 |
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* Cost of
goods sold/Turnover |
0.76 |
PROFITABILITY:
FAIRLY GOOD
The
turnover of SC appears fairly good in its line.
SC’s net
profit margin is fairly good.
SC’s return
on total assets is fairly good.
SC’s cost
of goods sold is average, comparing with its turnover.
LIQUIDITY:
AVERAGE
The current
ratio of SC is maintained in a normal level.
SC’s quick
ratio is maintained in a normal level.
The
inventory of SC is average.
The
accounts receivable of SC is fairly large.
SC’s
turnover is in an acceptable level, comparing with the size of its total
assets.
LEVERAGE:
FAIRLY GOOD
The debt
ratio of SC is average.
The risk
for SC to go bankrupt is low.
Overall
financial condition of the SC: Fairly Good.
Over the
past 2 years, SC has made a stable growth with satisfactory profit. A credit
line up to USD 1,000,000 would appear to be within SC’s capacities.
RATING EXPLANATIONS
RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound
financial base with the strongest capability for timely payment of interest
and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working
capital. No caution needed for credit transaction. It has above average
(strong) capability for payment of interest and principal sums |
Large |
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56-70 |
A |
Financial & operational base
are regarded healthy. General unfavourable factors will not cause fatal
effect. Satisfactory capability for payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered
normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable
factors carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent.
Repayment of interest and principal sums in default or expected to be in
default upon maturity |
Limited with full security |
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<10 |
C |
Absolute credit risk exists.
Caution needed to be exercised |
Credit not recommended |